Levitate Student: Bank(rupt) of Mum & Dad

I am a parent of two young people born two and a half years apart. That seemed like fairly shrewd family planning at the time. Its seem a common enough set-up looking around, the standard 2 point...whatever kids with about two years recovery time between them. The fact is that back then my spouse and I had not projected our minds forward to the impact that decision would have in their university years.

Our Number One Child started university in September 2013 on a four year degree course and our Number Two Child started in September 2015 on a three year degree. So as a consequence they over-lapped their uni studies by two years. 

I am going to try to list out what it has cost to support our students aspirations to go to university. Something we have done gladly I must say, in spite if the challenges and financial struggles it has brought us.

What I won't include are the general costs we would have incurred anyway such as food and lodging when they come home, taxi-ing costs (including back & forth to uni as we would no doubt have done similar driving about to somewhere anyway) holidays we have paid for, Christmas presents, birthday and other gifts etc.

I will start with their student income though.....

Student finance assessment

Our students could not get income assessed student finance as our joint household income took us just over the threshold that allowed anymore than the basic funding. As a consequence both kids were entitled to the tuition fee loan which is not dependent on household income and the non-income assessed maintenance loan.

In 2016/17 this loan is £3,038

They didn't tick any boxes for any extra help from the universities such as bursaries. However one did need to apply for disabled students allowance which helped with some specialist equipment.

Planning a budget

We would recommend that parents and students sit down and do this together. It's a challenge to know what are appropriate or affordable expenditures. So we agreed to set a a rough budget but discuss their needs and our own money pressures on-going and tweak as needed.

We agreed to send a monthly amount by standing order of £150 to each child (even over the summer). 

So for Child One that's £7,400 over the 4 year course

 & for Child Two that's £5,800 over the 3 year course

The kids have been fairly modest with their spending and have earned some money through working when they could. 

On average they spent somewhere between £200 & £250 per month on out-goings such as food, bills, course costs, travel, socialising (rent excluded).

Looking around the university towns

We visited the potential university towns, some just on the Open Days, but others we made special trips to see. We made a holiday of it on one occasion since the universities of choice were quite away from home. 

We've easily spent over a £1000 on travelling to the university towns and paying for hotel accommodation.

Filling the bottom drawer

It's easy to get carried away in this department. We bought storage boxes, bedding (you don't really want all your home bedding to go with them) towels, cushions, basic crockery, cutlery. pans, tupperware. We had to buy them both a set of suitcases. We even bought small pieces of supplementary furniture such as drawer units, side tables and even collapsible wardrobe from IKEA for example. 

Books were a very expensive outlay and to be honest I am not sure how much use they were. Even though the university sends a reading/purchase list we would say hang fire until the student has a better idea what is really important themselves.

I would say £1000 would probably cover the books and bottom drawer costs for them both.

Stocking the cupboards

We have tended to help them with a "big shop" at the start of every new term, when we take them back after a break. This is to help them on their way, perhaps we are being over generous to pick up the tab but hey ho. 

So £1,500 should account for the big shop for each of them over the years.

Accommodation costs

This really hurts - I mean really!! The cost of accommodation has definitely been the toughest pressure. Paying for weeks where they are not even living in the accommodation is especially aggrieving.

Also there were hassle and concerns over signing as guarantors on their rental contracts. 

Child One lived in hall in first year and went for the catered option - cost £6,082

In second year they lived in private rented but had saved enough from student income and our monthly contribution to pay their own rent. Cost was £90 per week for 52 weeks with bills on top.

Year three coincided with their siblings first year so once again Child One had to pay their own rent. Which was £75 per week for 52 weeks plus bills.

For year four they returned to halls at an annual cost of £4,995, un-catered this time, once again we parents paid.

Child Two lived in private rented in year one with utility bills included and we paid it - cost £4,200.

Their second year coincided with their siblings final year so while we paid for Child One's halls, Child Two picked up the cost their own rent £105 per week with no bills included.

Their final year we will pay again  - the cost for accommodation (no bills) is £4,920

The kids have paid their own deposits and administration fees as these are often taken at the time of finding the new place.

Summary accommodation cost  to bank of Mum and Dad

               Child One        Child Two        Cost to
              Annual Rent   Annual Rent   Mum & Dad

Year 1      6,082                 -                     6,082                

Year 2      4,680                 -

Year 3      3,900              4,200                4,200                     

Year 4      4,995              5,460                4,995                                        

Year 5          -                  4,920                4,920

Total                                                      £20,197

So from the Bank(rupt) of Mum & Dad)

                     Monthly Budget                 £13,200

 Looking at University Towns                 £ 1,000

      Filling the bottom drawer                 £ 1,000

         Stocking the cupboards                 £ 1,500

           Accommodation Costs                 £20,197

Total       £36,897 
         
         Ouch!!